Union Bank

FEATURED ARTICLES ABOUT UNION BANK - PAGE 5

MUMBAI: Union Bank on Thursday said it has taken a series of measures to help the micro, small and medium enterprises (MSMEs) facing liquidity crisis, including rescheduling of loans, on a case by case basis. "The global turmoil has affected the MSME sector and the bank wants to reduce the severity of the pain," said bank's chairman and managing director MV Nair. He said that the slowdown in economy has not led to higher NPA levels of the sector as of September 2008 which worked out to only 1.24%.

MUMBAI: The Union Bank of India (UBI) has raised interest rates on domestic deposits by upto 0.75 per cent on different maturities. Interest rates on deposits of less than Rs 15 lakh have been raised to 3.75 per cent from 3.5 per cent at the lowest maturity of seven to 14 days, while for the five to ten years term, the rate has been increased to eight per cent from the earlier 7.25 per cent. However, deposits amounting to Rs 15 lakh and above would now attract four per cent rate instead of the earlier 3.5 per cent for the seven-to-fourteen-day period.

MUMBAI: State-owned Union Bank of India has introduced a 900-day deposit scheme that would give 10.5 per cent interest to depositors. "Given the current scenario in the financial markets, the general public is looking for bank deposits as an investment avenue yielding safe and assured returns," the bank said in a statement. Deposits for the period of one year and above will carry a rate of 10 per cent, the bank said. Senior citizens will get an additional intertest of 0.5 per cent above the card rates on domestic term deposits of one year and above.

KOLKATA: Riding on an impressive profit for the fiscal 2007-08, public sector lender Union Bank of India (UBI) has embarked on a massive organic growth plan. In parallel, the bank is also working on a fresh brand-building exercise with an aim to be among the top three banks by 2012. "The opportunity for inorganic growth is less today. So, we are solely looking to expand organically to grow the business. We intend to open about 400 branches in 2008-09 alone. This expansion exercise would help us grow faster than the industry in the medium-term till 2012," Union Bank chairman and managing director MV Nair told ET. "Apart from focusing on business, we've also decided to invest on brand-building in 2008-09.

BEIJING: Expanding its overseas presence, the Union Bank of India (UBI) is opening a full-fledged branch in Hong Kong and plans to have two more representative offices in mainland China. The UBI just received approval from the Hong Kong Monetary Authority to open a full-fledged branch in Hong Kong, a Special Administrative Region of China. The branch will have full fledged banking operations including deposit acceptance, lending to trade and corporate, treasury operations and overseas business.

THIRUVANANTHAPURAM: The murky issue of Kerala-based cardamom auction house Cardamom Marketing Corporation (CMC) being accused by many of not refunding their deposits, has taken a more serious turn, with two banks pressing ahead with Debt Recovery Tribunal procedures for recovery of money owed to them by the auction house . While Tamilnad Mercantile Bank (TMB) has initiated proceedings through the DRT in Coimbatore, Union Bank adopted the same course in Kochi. TMB officials said the matter was with the Coimbatore DRT because the Cumbum branch of the bank involved in the CMC issue fell under the jurisdiction of the Coimbatore DRT. TMB's counsel has served a notice on the Vandanmedu-based CMC represented by its managing partner and 206 others on the bank's application before the DRT to recover Rs 3.06 crore related to their dealings with the bank.

THIRUVANANTHAPURAM: The murky issue of Kerala-based cardamom auction house Cardamom Marketing Corporation (CMC) being accused by many of not refunding their deposits, has taken a more serious turn, with two banks pressing ahead with Debt Recovery Tribunal procedures for recovery of money owed to them by the auction house . While Tamilnad Mercantile Bank (TMB) has initiated proceedings through the DRT in Coimbatore, Union Bank adopted the same course in Kochi. TMB officials said the matter was with the Coimbatore DRT because the Cumbum branch of the bank involved in the CMC issue fell under the jurisdiction of the Coimbatore DRT. TMB's counsel has served a notice on the Vandanmedu-based CMC represented by its managing partner and 206 others on the bank's application before the DRT to recover Rs 3.06 crore related to their dealings with the bank.

MUMBAI: State-run Union Bank of India today reduced benchmark lending rates marginally by 0.1 per cent to 10.65 per cent, a development which could signal a reversal of the high interest rate regime. "Our asset liability committee, in its quarterly review of interest rates, has decided to bring down the base rate by 10 basis points from 10.75 per cent to 10.65 per cent with immediate effect," a statement from the city-headquartered lender said. With 13 rates hikes effected by the Reserve Bank in the past 20 months, banks were compelled to pass on the rising cost of funds to their customers.

GUWAHATI: State Bank of India (SBI), the nation's largest lender by assets, and Union Bank of India aren't planning any cut in base rates at least until the central bank changes its policy stance, said senior executives at the state-run lenders. Base rate is the minimum lending rate for banks and a cut in it by SBI would force others to follow suit. State Bank of India as well as top private-sector rivals ICICI Bank and HDFC Bank have recently cut the rates they offer on term deposits following an improvement in liquidity, raising expectations in some quarters that they may lower lending rates as well without waiting for the Reserve Bank of India (RBI)

MUMBAI: In a move that could step up action in the car loan segment, Union Bank of India has tied up with Maruti Udyog and Ford India for providing direct loans to customers. As per the scheme, an Union Bank customer will be charged 10.5% on loan on purchase of any Maruti or Ford car. However, if the customer wants to buy any other car the interest rate on the loan would be pegged at 12%. To attract borrowers, the bank has decided to pass on the subvention amount to the customers taking loan for Maruti or Ford cars.